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Engulfing Candle

EUR/GBP - Long Term Support Level Continues to HoldThis is EUR/GBP on the Daily Chart. We can see price has respected this level of support since May 26th 2020. Once again price has tanked down to our support level and bulls have been sitting at our support zone - we can see price starting to move away from our key area yet again to the upside. We can use candlesticks at this key level as extra confirmation - such as an engulfing candle, or the bullish pin bar. Any questions, just ask!
by Jal121
1
TOP 6 Candlestick PatternsHi, I would like to share my TOP 6 candlestick patterns, you can also name your TOP 3 in the comment section. Perfect scenario: identify the strong area, wait for the price coming inside of it, wait for a candlestick pattern which consists of at least two candles and it has to form in at least 1-hour timeframe (lower TF candlestick patterns are poor), wait for a pullback and GO. Always wait for a small pullback after the candlestick pattern has formed, you will get a better price. It is so rear case that after candlestick pattern formation the price goes immediately into the shown direction. MORNING STAR The Morning Star is a bullish bottom reversal pattern. It warns of weakness in a downtrend that could potentially lead to a trend reversal, especially if it forms on a strong support level. The morning star consists of three candlesticks with the middle candlestick forming a star. The first candlestick in the morning star pattern must be a red candlestick with a relatively large real body. The second candlestick is the star, which has a short real body that is separated from the real body of the first candlestick. The star does not need to form below the low of the first candlestick and can exist within the lower shadow of that candlestick. The star is the first indication of weakness as it indicates that the sellers were not able to drive the price close much lower than the close of the previous period. This weakness is confirmed by the third candlestick, which must be green in color and must close 50% above the body of the first candlestick. EVENING STAR The Evening Star is a bearish, top trend reversal pattern that warns of a potential reversal of an uptrend. It is the opposite of the Morning Star and, like the morning star, consists of three candlesticks, with the middle candlestick being a star. The first candlestick in the evening star must be green in color and must have a relatively large real body. The second candlestick is the star, which is a candlestick with a short real body that does not touch the real body of the preceding candlestick. The star can also form within the upper shadow of the first candlestick. The star is the first indication of weakness as it indicates that the buyers were unable to push the price up to close much higher than the close of the previous period. This weakness is confirmed by the candlestick that follows the star. This candlestick must be a red candlestick and must close 50% above the body of the first candlestick. BULLISH/BEARISH ENGULFING The Engulfing candlestick pattern is a two-candle reversal pattern. A reversal pattern can be bearish or bullish, depending on whether it appears at the end of an uptrend (bearish engulfing) or a downtrend (bullish engulfing pattern). The first candle is a small body, followed by the second candle whose body completely engulfs the previous candle body and closes in the opposite direction of the trend. BULLISH/BEARISH RAILWAY TRACKS A bearish railway track pattern has the first candlestick bullish and the second candlestick bearish. That fact that there is a sudden change from bullish to bearish candlestick should be a good indication that there might be a bearish trend forming. If you see it inside of the determined strong area the more powerful it is! Regards, Vaido
COINBASE:BTCUSDEducation
by VaidoVeek
13
Can WE Reach XLM ATH in Few Weeks?After Very long side way XLM has broke out two very Strong Key Level Of Resistance with very bullish weekly candles . in the last two candles we can see great engulfing which broke resistance key level and finally nice rejection by zone and dynamic trend line. there is two long possibility for price action now: get back to the zone one more time and start to moving up and break small ascending channel then pullback to it and then start moving up.
CAPITALCOM:XLMUSDLong
by behnamkarimi6
AAPL: "Engulfing" Cup and HandleBoth are daily charts of Apple. On the left, a cup and handle formation has recently resolved within the larger trading range. First there was a test of upper resistance (I call it a kiss hello, probably not the first to call it that), then a small pullback (the handle), then a breakout. Old resistance became new support, and when price came back, it said thanks a lot and gave support a kiss goodbye. On the right, the same type of behavior is evident. In a sort of, "engulfing manner," a new cup and handle is happening around the first one. This time it is more interesting because a break above would take us to a new all-time-high.
NASDAQ:AAPL
by The_Arena_Trader
1
Gold snooked many... Previously mentioned that Gold was in a downtrend... and despite a December rally that started a lot of Gold-to-the-sky talk, I had doubts and hence, no update post as I was patiently observing. Friday proved my suspicion correct as Gold dropped well below the 1900 level after breaking above 1950 for a day. The Friday Gold drop wiped out the month of December's gains in a day. Big hint here. Nonetheless, one of the major reasons for being suspicious about the rally was that the Top 8 traders were obviously selling Gold, not buying. The bottom most panel (yellow line indicator chart) is the Top 8 Net positions. From May to June 2020, the Top 8 traders were accumulating already. And when the non-commercials started joining in the accumulation party, Gold prices took off. December 2020, the Gold rally was supported by retail and clearly, non-commercials (until Christmas). However, it is clearly observable that the Top 8 Traders were distributing instead. Over and above that, technicals show that Gold has a trend change, and needed to consolidate first. MACD was in bearish territory, and price just bounced off 1800 support and channel support despite that there was a large harami type candlestick pattern indicating a couple weeks of Gold rally in December. Well, that has ended... promptly. This week, we saw a break out of channel resistance, and then failure of that break out. Bad news... this typically suggest a breakout on the other side to follow. This can be targeted to be around Feb, at about 1650, if it were to plummet over the next few weeks. Probable at this point as the massive bearish engulfing (after channel breakout failure) is strongly suggesting... I expect to see some small bounce, followed by more of a dive in Gold over the next two to three weeks. Breaking down and out of the channel support represents good opportunities to look for a trend change (back to bull trend). Oh wait... there is a BRB system buy signal, which I intend to discretionarily ignore for now. Perhaps take into consideration IF there is a bounce off the 55EMA in about two weeks. Anyways... Do see my following post about the USD (and the GDX too). It spiked, and contributed to Gold dropping fast on Friday.
COMEX:GC1!
by Auguraltrader
NIO: Opportunity ahead! Bullish signs near a dual-support!Hello traders and investors! Let’s see how NIO is doing today! Ok, NIO is dropping today, but I see no reason to panic. Right now, NIO is doing a Bullish Engulfing , above a dual-support level made by the purple line at $ 50.50 and the 21 ema. This purple line is my guide for the short-term, as we discussed in my last NIO analysis, which you can check in the link below. Under this line, NIO could fill the gap and even do a sharper pullback. But this shouldn’t scare anyone here, as the trend is still bullish, and there are no reversal or pullback signs yet. The daily chart is looking very bullish, and if NIO corrects, we can expect it would hit the 21 ema in the daily chart again, but so far, there is nothing indicating that this is going to happen. Remember: The $ 50.50 is the key point. The volume increased a lot yesterday, reinforcing the idea that the trend will resume, and as far as I know, today’s drop was just an opportunity. As crazy as this sounds, the target is the $ 57.20 , as we discussed in my last analysis (again, link below). Let’s watch NIO closely, and remember to follow me to keep updated, as I do daily analyses on NIO and other stocks. And please, support this idea if it helped you! Thank you very much for your support! Have a nice day.
NYSE:NIO
by Nathan_The_Finance_Hydra
22
TSLA: Some scenarios to work with.Hello traders and investors! Let’s see how Tesla is doing today! First, it is trading near a support level, the 21 ema, which is holding the price quite well. If TSLA loses the 21 ema then it would seek lower support levels, like the red line at $ 521, or the black line at $ 641, but since the trend is bullish, we can’t count too much on that scenario. The odds are Tesla will defeat the resistance level at $ 668, and this could make it hit the $ 684 again. Right now, in the hourly chart, we have a strong candlestick pattern called Bullish Engulfing, and this increases the chances of an upside movement. In the daily chart, it seems Tesla is doing a sideways movement , and it wants to hit the 21 ema again. The volume is very low, which was expected, since we are between Holidays, but this also tells me that Tesla is not in danger. There are no pullback or reversal signs around, and in the worst-case scenario Tesla would hit the 21 ema again. Let’s keep monitoring Tesla closely, and if you liked this analysis, please, support it ! And I invite you to follow me to keep in touch with my daily updates. Thank you very much.
NASDAQ:TSLA
by Nathan_The_Finance_Hydra
4